has tied put £180 million back into Healey's account books Unner Cursin taxes package. "brighter' operation materaisea being experienced daily by the working class WOOK One TADPHIC IS except a continuing decline in living standards. ance of Phase 3. prepared by means little other than more of the same.
If further rounds of wage-slashing to consider the budget. formal negotiations with Healey.
their class collaboration policies The most telling response to Healey's budget to date has been the resounding set-back suffered by Labour in the Stechford by-election just two days after its publication This budget marks the beginning of the hard-line sales tax concessions to the Government's policy of wage limits. His budget provides for a cut in income tax by £1990 million. But this will be offset by indirect taxation measures on petrol, road tax and tobacco which hit the working class hardest. These measures will Healey has not yet revealed the exact terms of this roune or wace mIs nes aner as ourer soceci demanded ' a satisfactory' pay deal in return for £1 billion Last year's tactics were slightly different when he immediately called for a 3 per cent limit later adjusted to an average 4½ per cent. But the promises being used to sell this budget have the same familiar ring A reduction in the rate of inflation was put at the centre of the 1976 budget, with promises that it would be halved by December 1977. The single figure rate Healey promised has fared about as well as the rest of last year's budget Prospects on the unemployment front are not nor nave nis assurances inal price controls must not be swept aside when an incomes policy is in DISASTROUS EFFECTS The disastrous effects of last year's pay deal are now tea income of workers has fallen by an average of £10 per Rape nolicy was introduced. inflation soars to a rate of 22 per cent on essential items increases average only 12 per cent in money terms. in other words, wage restraint has been exercised by the workers movement in return for nothing AcceptHealey's budget speech deals are to be avoided, the fight-back must be organised and centralised now. The Economic Council of the TUC meets on 13 April •Inen Ine stage will De •SET TO The union conferences scheduled to begin mid-April will be an opportunity for the union leadership to see how far they can carry on with Last year, few limits were put on these bureaucrats. The whole deal was sewn up by 16 June following the special delegate TUC called to give its verdict on the deal. Even The Times conceded that this meeting was a formality -only one report, drawn up by the General council, was pu to the vote and all opposing resolutions were ruled out o order in advance. The union bureacrats manoevred in the Of the unions which first came out in opposition to the pay deal last year, one after another had their policies the bunding workers union, UCATT, was the first large manual union to go on record at its annual conference against incomes policy, in favour of free collective bargaining. Just one month later, an executive-inspired postal ballot reversed the decision with a mere 6½ per cent of union members POSTAL BALLOT The leadership of the CPSA — the civil service workers" union - also resorted to a postal ballot to see it members of despite an overwheimina vote at the annual conterence against ar incomes policy. They didn't even dare commit themselves to the outcome, stating that the results would 'be borne in mind' by delegates attending the special TUC. The AUEW bureaucrats manoeuvred just as blatantly. Daily papers predicted a split in this amalgamated union over how Phase 2 down the throats of the Militants must organise now to ensure their so-called leaders do not get a head start on the membership as they dic mandate from the workers movement to enter Healey's chambers. Union conferences will be called upon to endorse whatever these bureaucrats get up to. The fight against any form of Social Contract centre of the upcoming union conferences. Steps must be taken to organise a left wing inside the unions, prepared to fight for policies of class This means fighting for claims to immediately make up wages lost under Phase 1 and 2 and to tie all future claims to a trade union cost of living index so they can be alternative wages policy is not enough measures to end unemployment, to stop the cuts in socia spending, and to throw out every aspect of the Social Contract must be part of such an action programme. The by-words for union militants in the coming months are No to any pay deal, No to any form of Social Contract